Community Associations

On Thursday, July 1, 2021, Governor Murphy signed a COVID-19 liability protection bill and, by doing so, gave community associations some immunity from certain legal claims arising from COVID-19. The law provides that a community association “shall be immune from civil liability for damages arising from, or related to, an exposure to, or transmission of, COVID-19 on the premises” providing the association has prominently displayed a sign “at the entrance of any communal space shared by…residents and their guests, such as pools, gyms, and clubhouses.” The sign must state the following:

“ANY PERSON ENTERING THE PREMISES WAIVES ALL CIVIL LIABILITY AGAINST THE PLANNED REAL ESTATE DEVELOPMENT FOR DAMAGES ARISING FROM, OR RELATED TO, AN EXPOSURE TO, OR TRANSMISSION OF, COVID-19 ON THE PREMISES, EXCEPT FOR ACTS OR OMISSIONS CONSTITUTING A CRIME, ACTUAL FRAUD, ACTUAL MALICE, GROSS NEGLIGENCE, RECKLESSNESS, OR WILLFUL MISCONDUCT.”


Continue Reading Does Your Community Association Want the New COVID Immunity? Post Your Signs Now!

On March 11, 2021, President Joe Biden signed the American Rescue Plan Act of 2021 (the “Act”) into law. The Act is a $1.9 trillion economic relief package intended to address the COVID-19 pandemic.

Continue Reading American Rescue Plan Act of 2021 Provides For Additional Cash Assistance and Supplemental Federal Unemployment Benefits

As electric vehicle production and use are becoming a significant part of the country’s energy conservation and global warming reduction effort, many states are passing laws in order to help expand the installation and use of electric vehicle charging (EVC) stations. New Jersey has now joined that list of states.

Continue Reading Electric Vehicle Charging Stations – Pulling Up to Your Community Association Soon?

2020 marks the year of COVID-19, economic shutdowns, unemployment, and business closings. However, with approximately $4 trillion dollars in pandemic aid, many individuals were able to avoid foreclosure and bankruptcy. With federal funding providing an additional $600 per week to unemployment checks, many individuals received more in unemployment benefits than they would have received in their paychecks. Mortgage foreclosure moratoriums also assisted individuals financially impacted by the pandemic. What is in store for 2021 with federal stimulus and forbearance plans ending, and unemployment on the rise? 2021 may mark the year of soaring bankruptcy filings.

Continue Reading A Rise in Bankruptcy Filings for 2021 and How Associations Should Brace for Impact

A number of community associations are governed by Declarations/Master Deeds and By Laws containing a provision that any controversy or claim arising out of, or relating to the Declaration/Master Deed or By Laws, must be submitted to and decided by the American Arbitration Association (AAA) under its Commercial Arbitration Rules. This provision is intended to provide a cost and time efficient alternative to litigation. In theory, the use of the AAA for resolution results in a faster and less costly alternative to litigating such controversies and claims. In fact, depending on the nature and size of the matter, advantages of utilizing the AAA do exist.

Continue Reading AAA Arbitration: The Jury is Out

Governor Murphy has now announced that community association pools may open in New Jersey on June 22. If you didn’t hear that announcement, you probably did hear the collective cheers from Cape May to Mahwah.

But, just because pools and some other amenities may open, you must ask: should you open yours?


Continue Reading Pools (and Some Other Amenities) are Opening in New Jersey! Should You Open Yours?

Effective May 18, 2020, proposed regulations to PREDFDA were adopted and published by the New Jersey Department of Community Affairs, Division of Codes and Standards (DCA).

A Brief History

In July 2017, several amendments to PREDFDA (N.J.S.A.45:22A-43) were signed into law becoming known as the “Radburn Election Law” (P.L.2017, c. 106). These amendments broadly focus on membership voting rights, elections, and by-law amendments. In June 2019, proposed regulations to the Radburn Law were introduced and the public was given a period of time to comment on the proposed regulations. While comments were mixed, there was strong opposition to many of the provisions. The regulations have now been approved and published.

How This Impacts Associations

While the provisions of the Radburn Regulations are substantial, following are the provisions which are most significant and/or most relevant to the majority of community associations:


Continue Reading Radburn Law Regulations

The Legislature passed S2342/A3915, which allows non-profit corporations to hold member meetings remotely during this state of emergency, to the extent that the board adopts guidelines to establish procedures governing member meetings. The bill was just signed into law by Governor Murphy.

Continue Reading Governor Murphy Signs Into Law Title 15 Amendment to Allow for Remote Member Meetings

Although CAI-LAC has received word that both houses of the Legislature have pulled the collection moratorium bill  COVID-19 Financial Security for Consumers Act, from the bills to be heard today, it does not mean that the bill will not advance.

We believe it means the Legislature is aware how devastating the bill would be to community associations. However, it is still so important that you write to your legislators in your district to express your strong opposition to the bill.


Continue Reading Pending Legislation Limiting Collection

On March 30, 2020, the U.S. Court of Appeals Third Circuit issued an important decision in the case of Riccio v. Sentry Credit, Inc., approving oral communication as a method to dispute the validity of a debt. This decision overruled Graziano v. Harrison 950 F.2d 107 (3d Cir. 1991), a long-standing case requiring a writing to dispute a debt and will affect all consumer debt collectors including those collecting debt for community associations.

Continue Reading Validity of Debts May Be Disputed by Oral Communication: Third Circuit Rejects Requirement of a Writing to Dispute Consumer Debt Under the Fair Debt Collections Practices Act